\u3000\u3 China Vanke Co.Ltd(000002) 960 Jade Bird Fire Co.Ltd(002960) )
Event: Recently, the company released the first quarterly report of 2022. In the first quarter of 2022, the company achieved an operating revenue of 746 million yuan, a year-on-year increase of 64.71%; The net profit attributable to the owners of the parent company was 67 million yuan, a year-on-year increase of 30.64%. The basic earnings per share is 0.19 yuan.
Comments:
Q1 performance continued to increase, and the liquidation of beneficiary industries accelerated. On the revenue side, the company’s Q1 revenue in 2022 was 746 million, an increase of 64.71% at the same time; Quarterly, the revenue growth rates of 2021q1-q4 and 2022q1 are 166.80%, 39.92%, 41.30%, 52.20% and 64.71% respectively. Affected by the base, the revenue growth rate of 2021q1 continues to increase after 2021q2. By the end of the first quarter, the company’s inventory had increased by 52.92% and contract liabilities by 73.20%. There were abundant orders and demand was still good, mainly due to the accelerated clearing of production capacity under the background of poor industry profitability and intensified competition.
Q1 has strong profitability and toughness, and its leading position has been continuously consolidated. On the profit side, the net profit attributable to the parent company in 2022q1 was 666213 million yuan, an increase of 30.64% at the same time, deducting 626583 million yuan not attributable to the parent company, an increase of 39.40% at the same time. The growth rates of net profit attributable to the parent company in 2021q1-q4 and 2022q1 were 876.21%, 9.67%, -4.41%, 45.23% and 30.64% respectively. The gross profit margin in 2022q1 was 39.19%, a decrease of 3.51 PCT at the same time, the net profit margin was 9.85% and 1.36 PCT at the same time. The profitability of the company remained strong toughness under the rise of raw material prices and the adjustment of business structure, At the same time, while ensuring the profitability and toughness, it benefited from the accelerated clearing of industries and the rapid increase of market share.
The general alarm business maintained a high growth, and the intelligent evacuation continued its explosive growth. The general alarm sector has a multi brand layout. Under the condition of industry downturn, the first-line brand Qingniao brand has maintained stable growth, and the second-line brand Jiuyuan brand Q1 has maintained a growth rate of more than 40%. The intelligent evacuation sector continues its high explosive growth trend. The revenue of Q1 intelligent evacuation business has increased by more than 200% year-on-year. We expect that the space of intelligent evacuation industry is close to that of general field. At present, it is still in the period of rapid penetration, and the industry demand is expected to maintain high growth in the next few years.
Industrial fire fighting, energy storage fire fighting and intelligent fire fighting businesses were actively promoted. The delivery amount of 2022q1 industrial fire fighting business has exceeded 10 million, and it has landed in Wanhua Chemical Group Co.Ltd(600309) Fujian Industrial Park, Ningde Fuding times lithium battery plant, AVIC lithium battery and other representative projects; The energy storage and fire fighting business has been steadily promoted. Q1 was ranked first in the “innovation of energy storage and fire safety enterprises” by the energy storage application branch of CESA, highlighting the strength of fire alarm faucets; Smart fire service Q1 has carried out the construction of Huangshi fire safety management, Nanjing Logistics Center, Guangxi Vocational and technical college and other projects. The number of online units of ” Jade Bird Fire Co.Ltd(002960) cloud” has exceeded 22000, and the industrialization has accelerated. As the fire alarm track continues to expand, the ceiling of the company’s growth is gradually opened.
Profit forecast and investment rating: we expect the company to realize net profit attributable to parent company of 726 million yuan, 923 million yuan and 1198 million yuan from 2022 to 2024, with corresponding EPS of 2.08 yuan / share, 2.64 yuan / share and 3.43 yuan / share respectively, and corresponding PE of current stock price of 15 times, 12 times and 9 times respectively. Maintain the “buy” rating.
Risk factors: the risk of changes in industrial policies, the risk of intensified industrial competition, the risk of fluctuations in the price of raw materials, the risk that new business expansion does not meet expectations, etc.
